Earth Day usually invites reflection on the planet. This year, Brussels used it to deliver a different reminder: energy policy is also security policy.
On Tuesday, Executive Vice President Teresa Ribera and Commissioner Dan Jørgensen unveiled AccelerateEU – the European Commission’s response to the latest fossil fuel price shock triggered by tensions in the Middle East. Since the escalation began, the EU’s energy import bill has risen by €24 billion. That is more than €500 million a day leaving Europe – without any extra amounts of energy arriving.
If that sounds familiar, it should.
For the second time in less than five years, Europeans are paying the price of dependence on imported fossil fuels. And once again, the lesson is clear: the fastest route to energy security runs through electrification, efficiency and homegrown clean power.
So, what is in the Commission’s toolbox? We look into it in this #FridayFeature
Short-term relief meets long-term strategy
AccelerateEU focuses on both urgent and structural measures to reduce electricity costs and exposure to fossil fuel volatility.
On the short-term side, the plan opens the door to:
- Lower electricity taxes and targeted support for consumers and industry
- Greater flexibility under a forthcoming temporary crisis framework
- Measures to cushion price spikes linked to global energy shocks
At the same time, the Commission is doubling down on structural change – accelerating electrification, renewables and grid investment to reduce dependency on imported fossil fuels.
Five ways to accelerate
In a “shield and sprint” approach, AccelerateEU combines emergency relief with long-term and structural reforms.
1. Better coordination: the Commission wants closer EU cooperation on gas storage refilling, fuel supply, emergency stocks and refinery capacity. Because when markets tighten, fragmentation is expensive.
2. Protecting consumers and industry: targeted income support, energy vouchers, temporary state aid, and measures for the most exposed sectors are all on the table.
3. Electrification at speed: It is now clear that electrification is fully recognised as the way forward to achieve lower bills, secure supply, and greater confidence for business.
4. Grids, grids, grids: AccelerateEU explicitly points to swift adoption of the European Grids Package and smarter taxation so electricity is not penalised versus fossil fuels. Europe’s power grids will need massive investment and faster permitting to keep up with rising demand from electrification. As highlighted in Eurelectric’s Grids for Speed study, without stronger networks, even the best policy frameworks risk falling short.
This week S&D Rapporteur for the Grids Package’s permitting directive Niels Fuglsang presented his draft proposal, which will now go through the negotiations phase. At Eurelectric, we see this draft as a good start, as our Secretary General Kristian Ruby said,
“Overall, this report sends a strong signal that Europe understands grids are now the frontline of energy security and decarbonisation. Streamlined permitting for low-impact projects, stronger recognition of overriding public interest, and a clearer framework for anticipatory investments are important steps in the right direction. However, permit streamlining should not lead to disproportionate cost increases for DSOs.”
5. Investment, investment, investment: with energy transition needs estimated at €660 billion per year until 2030, public money alone will not do the job. Expect a Clean Energy Investment Summit to crowd in private capital. But at Eurelectric we have recently warned that the real obstacle to clean investments is not ambition or tools, but lack of certainty against risks.
Cutting bills without breaking markets
Reducing electricity costs is not just about intervention, it’s about getting the balance right.
Eurelectric has been clear – short-term measures must avoid distorting electricity markets and preserve investment signals.
In its recent paper on how to bring down bills, Eurelectric highlights practical solutions across all components of the electricity bill:
- Lowering electricity taxes and levies, while shifting them towards fossil fuels to support electrification
- Targeted support for vulnerable consumers and industry, rather than broad price interventions
- Expanding long-term contracts such as Power Purchase Agreements (PPAs) and Contracts for Difference (CfDs) to stabilise prices and reduce exposure to volatility
- Improving network tariff design to better reflect system use and encourage flexibility
The key point: short-term relief should not come at the expense of long-term investment certainty.
Why investment remains the real challenge
Lower prices alone won’t deliver the transition. Today, many clean energy investments are being delayed – not due to lack of technology or ambition, but because of persistent uncertainty and risk.
Companies are increasingly cautious due to:
- Policy and regulatory instability, which affects long-term revenue visibility
- Volatile power prices, complicating investment decisions
- Grid bottlenecks and permitting delays, slowing project deployment
- Financing risks, including counterparty risk in PPAs and rising cost of capital
As highlighted in Eurelectric’s derisking agenda, investors assess projects based on a balance between risks and returns and right now, that balance is deteriorating.
To address this, Eurelectric proposes a 10-point derisking agenda, including:
- Maintaining stable and predictable market frameworks, including the integrity of electricity markets and the EU ETS
- Scaling up the role of the European Investment Bank, including guarantees to reduce financing risk
- Enabling PPAs at scale by addressing regulatory and credit barriers
- Accelerating grid investment and permitting, to remove infrastructure bottlenecks
- Strengthening supply chains and skills, to avoid delays and cost increases
- Providing clear, long-term policy signals to restore investor confidence
The takeaway is simple: without a stable and predictable investment environment, capital will not flow at the speed required.
The real test: delivery
AccelerateEU sets out a clear direction – lower costs today, stronger systems tomorrow.
But the success of the plan will depend on execution:
- Can Member States implement targeted measures without fragmenting the market?
- Will Europe see sufficient investment in grids, generation and flexibility to deliver fast enough
- And can Europe scale electrification at the pace required?
One thing is certain: the window for action is now.
Next stop: Helsinki
AccelerateEU lands at a tense moment. It offers short-term tools to cushion the blow – but its real significance lies elsewhere. Europe is slowly accepting a simple truth: the cheapest energy crisis is the one you electrify your way out of.
This will be front and centre at Eurelectric’s Power Summit 2026 on 3–4 June in Helsinki, where Europe’s energy leaders will tackle the trilemma of security, competitiveness and decarbonisation.
Notably, both Teresa Ribera and Dan Jørgensen are set to speak at the Summit, alongside President Alexander Stubb and leading CEOs from across Europe’s power sector.
If AccelerateEU was the starting gun, Helsinki will be where the next lap begins.
This week’s edition’s written by:
Erin Kalejs, – Strategic Communications, Eurelectric
With technical input from:
Robert Birch, Policy Advisor – Wholesale Markets- Eurelectric
This blog post was originally published as part of Eurelectric’s LinkedIn Friday Features. Subscribe here to stay updated and never miss an edition.
Disclaimer: This article is for communication purposes only and may not reflect Eurelectric positions. Any positions taken in this article shall not be attributable to Eurelectric’s official positioning. Official Eurelectric positions are reflected only in position papers published here.